3. After looking over the level production plan, David Griffin, vice president of manufacturing, speaks up: “Thid look OK, but you know what bugs me about it? The assumption that if a worker is available, that worker has to be making gauge sets, even if we don’t need any more. It might make sense in some case to just have the worker not produce, rather than laying a worker off in one month and hiring someone else back the next.” Do you agree? What are the holding costs associated with having an extra worker produce gauge sets for one month? How do these compare to the layoff and hiring costs? How might a strategy of keeping extra workers idle affect the estimated manufacturing costs for the gauge sets? (Hint: Labor cost have to be accounted for some where.)